Since the application was filed on July 11, there have been two formal complaints submitted to the commission — one from the Bureau of Investigation and Enforcement and one from the Office of Consumer Advocate, according to commission case records.

Once the application is officially suspended, the commission will conduct hearings with borough representatives as well as those who submit a formal complaint, said press secretary Jennifer Kocher. If it seems there is a vested interest in the possibility of a rate increase, the investigation will also include public hearings, she said.

The commission has seven months to make a decision once the application is suspended, Kocher added.

Overall, Hanover Borough is looking for a $1.6 million increase in water revenue from Hanover-area residents who live outside the borough, said Borough Manager Barb Krebs.

If the commission hadn't delayed the process, residents might have seen a 40 percent increase in fees from $56 to $78 per quarter beginning in September, according to a letter sent from the borough office on July 11. Commercial customers might have seen a jump of about 52 percent and industrial might have seen a 44 percent increase, the letter stated.

Water rates might also have increased inside the borough, Krebs said, depending on the final decision regarding rates outside the borough.

While a smaller increment of 4 or 5 percent would make sense, a jump as large as 40 percent is absurd for residents to pay, Ford said in a phone interview.

"It makes sense for rates to go up because costs go up," the practicing engineer said. "But this is just insane. It makes you think someone messed up the calculations at the borough or something and they are trying to make up for it."

The increase would cover $3 million worth of improvements that took place over the past year, including a new pumping system and water protection covers, Krebs said. It would also help fund the $6 million building plan set to begin in September on the old portion of the filter plant, which was built in the 1930s, she said.

The project involves installing new flow control valves and metering; replacing low duty pumps; renovating filters to replace the valves, piping, troughs and underdrains; replacing the roof; and the construction of a new chemical building.

Other water-related capital projects include the construction of a new Parrs Hill Booster Pump Station and generator as well as the replacement of 1,500 feet of pipe along Locus Street, said water superintendent Gordon Shue in a testimony to the commission.